Dealership Changing MSRP Deal

[xcxv]

No

OK good. Hope your GM signed the sale price when you submitted order

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[SkinzfanVa]

First time posting here...For those who reserved at Richmond Ford West in Virginia, I reached out to the manager yesterday out of concern of ADM. He responded via email that all bronco reservation holders at RFW will be at MSRP. They will not be accepting any planned pricing (not sure what that means) and the stock vehicles will definitely be above MSRP.

 

[Heffe66413]

Let’s just throw a wrench into The Whole argument. Let’s say the dealer has thirty orders that he promised verbally at MSRP. And then he decides to add 10,000 onto each one. Now my argument is that the dealer is engaged in outright fraud. Fraud in the inducement to get buyer to use his dealership. Now in most states if you can establish a pattern of fraud , you would be entitled to damages, often times attorney fees - and the vehicle you ordered at the price you agreed upon. And how do you ascertain that the dealer engaged in this conduct- once a suit is filed seek discovery for every bronco ordered thru that dealership - and then contact those buyers.

 

[BigSki150]

Bigger question- With certain vehicles including the bronco, is it even necessary to have a dealer (middle man)? They sell themselves.

Necessary, NO but it's built into many State's laws. It's similar to the 3 Tier Laws that Breweries, Distillers and Wineries have to deal with. From there it will go to a distributor and then to a retail establishment for end consumer to purchase. I have been in Beer, wine and Spirits distribution for 27 years. Think of me like a Dealer but not shady! Lol

 

[2.3BigBend]

Let’s just throw a wrench into The Whole argument. Let’s say the dealer has thirty orders that he promised verbally at MSRP. And then he decides to add 10,000 onto each one. Now my argument is that the dealer is engaged in outright fraud.

Agreed 100%. But is Ford gonna do anything? Can they? How about Ford says: "If you don't honor order holder pricing, future allocations will be reduced by 50%".....Or whatever. I see a lot of dealers around me marking up Rangers. Like $2k-$5k. I'm not talking Tremors, I'm talking every Ranger on their lot. Crazy. Service departments and used car sales make good dealers their money and volume on new sales, not price gouging. Volume is down across the country because of supply, so it's level playing ground for all of the dealers. Why not lean on them? Especially service with all these used vehicles being sold. Dealers are gonna burn a lot of bridges if they do this crap to loyal customers who have been waiting, months or even a year. Remember when NASCAR alienated it's base and started building more profitable cookie cutter tracks for big money? They can barely sell 60%-70% of their tickets now because the loyal people left and so did the fair weather fans after a few years. I will walk away from anything over MSRP. Have a hard time accepting that I have to pay that quite honestly.

 

[LarryZiegler]

But that's not what is being discussed. Ford has said they will guarantee the pricing for those who ordered before 3/19 (or somewhere in that ball park). This post was about the dealer marking the vehicle up for his own benefit because demand, not cost is up, in spite of initially agreeing on the MSRP. If Ford raised the MSRP, then the dealer is still holding his end of the bargain if he sells at the new MSRP. Not sure if this post is fact or fiction, but I would not be surprised by dealers doing this because of greed. My dealer included.....

The subject matter also discussed the assumed legal avenues against a dealer that indicated it would hold its pricing to MSRP, then recanted that promise to adjust its pricing to an upward market adjustment and all the posts of threatened lawsuits as a result. That's what my post was about.

 

[stratego]

Agreed 100%. But is Ford gonna do anything? Can they? How about Ford says: "If you don't honor order holder pricing, future allocations will be reduced by 50%".....Or whatever.

The second Ford tries this, they get sued in court for trying to short circuit dealer autonomy. Many states have strong laws protecting dealers if their franchise agreement doesn’t cover this already.

I’m always surprised OEMs don’t threaten to just franchise an online dealer in an out of the way corner of each state who will trample dealers in the rest of the state. Even the threat of granting Amazon a franchise would likely keep them in line. Geographic restrictions don’t mean jack if online dealers are willing to deliver.

 

[Deleted member 23105]

Recently I was informed by my dealer that they were changing a policy to charge “market value” rather than MSRP. I specifically went with this dealer because they originally promised they wouldn’t up charge the bronco and would only charge MSRP. Of course they made this change and informed order holders after the deadline to change dealers. Anyone else being faced with this issue? Several legal issues come to mind with this tactic not to mention consumer protection issues.

If you have a signed order agreement, they cannot do this. It doesn't sound like you got the price in writing. This is common, it is why I tell people to always get everything the dealer promises you, in writing, with a Sales Manager's signature, and your signature. Otherwise, they can change anything and you must accept it.

 

[Deleted member 23105]

The second Ford tries this, they get sued in court for trying to short circuit dealer autonomy. Many states have strong laws protecting dealers if their franchise agreement doesn’t cover this already.

I’m always surprised OEMs don’t threaten to just franchise an online dealer in an out of the way corner of each state who will trample dealers in the rest of the state. Even the threat of granting Amazon a franchise would likely keep them in line. Geographic restrictions don’t mean jack if online dealers are willing to deliver.

Every Ford dealership is independently owned and operated. Ford Motor Company plays no role in the negotiation or sale of the vehicle. You must get all of the details in writing with a managers signature, your signature, and pay a cash deposit, in order for the agreement to be binding and enforceable.

 

[bishop0577]

I posted this on a different thread, but I think this one needs it too.

There is a list on the forum of dealerships that are not adding ADM. Of few of the dealerships showed "unknown". So for the benefit of the forum I started sending emails out to those dealers Just to see where they stood. Lithia Ford in Fresno California got back to me and they are adding $5999 ADM to all reserved and ordered Broncos. Pretty shady of them.

 

[LarryZiegler]

I posted this on a different thread, but I think this one needs it too.

There is a list on the forum of dealerships that are not adding ADM. Of few of the dealerships showed "unknown". So for the benefit of the forum I started sending emails out to those dealers Just to see where they stood. Lithia Ford in Fresno California got back to me and they are adding $5999 ADM to all reserved and ordered Broncos. Pretty shady of them.

Early on, I had contacted Lithia Ford about their pricing strategy......more on the acceptance of X Plan than honoring MSRP. I give them credit as they were quick to reply to my email that they would not be honoring X Plan pricing under any circumstances (this was before Ford made the decision to disqualify the Bronco from X Plan eligibility). Others had warned me of a negative reputation of Lithia Ford, so I'll leave it at that.

 

[igotnoclevername]

I posted this on a different thread, but I think this one needs it too.

There is a list on the forum of dealerships that are not adding ADM. Of few of the dealerships showed "unknown". So for the benefit of the forum I started sending emails out to those dealers Just to see where they stood. Lithia Ford in Fresno California got back to me and they are adding $5999 ADM to all reserved and ordered Broncos. Pretty shady of them.

Lithia Ford also has a green window sticker WT listed "for sale" that says call for price. I'd go almost anywhere else.

 

[Shabakuza]

Switch your reservation to Granger Ford in Iowa

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